Bank of Maharashtra plans to raise Rs 1,000 crore via Tier-II Bonds

New Delhi: Bank of Maharashtra, a leading public sector bank, on Tuesday, said it will raise Rs 1,000 crore by issuing Basel-III compliant bonds on a private placement basis.

“Bank of Maharashtra has informed the BSE that the bank is proposing to raise Basel-III compliant Tier-II Bonds amounting to Rs 1,000 crore by way of private/public placement,” it said in a regulatory filing.

At 1437 hours, the shares of Bank of Maharashtra were trading down 0.64% or Rs 0.20 at Rs 31.10 per scrip intraday on the BSE.

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According to a Fitch Ratings report, Indian banks need $140 billion (nearly Rs 9.34 lakh crore) capital to ensure full compliance with the Basel-III norms by 2018-19. The Basel-III norms are aimed at bolstering banks resilience.

Basel-III capital regulations are being implemented in India with effect from April 1, 2013, in a phased manner.